According to Keynes, an increase of the money supply given some expectations wil

Question

According to Keynes, an increase of the money supply given some expectations will result in: A- a small reduction in private investment and the real gdp B-a large reduction in private investment and the real gdp C-a moderate increase in private investment and the real gdp D- none of the above According to Keynes, an increase of the money supply given some expectations will result in: A- a small reduction in private investment and the real gdp B-a large reduction in private investment and the real gdp C-a moderate increase in private investment and the real gdp D- none of the above A- a small reduction in private investment and the real gdp B-a large reduction in private investment and the real gdp C-a moderate increase in private investment and the real gdp D- none of the above

Explanation / Answer

C-a moderram increase in private investment and real GDP. When supply of money increases , availablity of money with people increases and when people have money they will tend to invest the money so investments increases .when investment increases GDp also increases.  

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.